As the Aussie MACD turns bearish, one must consider maintaining a short bias from here. The diverging monetary policy direction (with the Fed) put the RBA in a bit of a bind, hike rates and you destabilise the already shaky property bubble, don't hike and the currency should continue to sell off as the relative value, implied by the interest rate differential narrowing; is realised... And finally, if you're forced to cut to prop up housing, sayonara purchasing power.
